NECESSITY,
FUNCTION, AND CONFORMITY: KRS 280.080 requires the Department of Highways to
make such administrative regulations for the control of toll bridges or toll
ferries, as defined in KRS 280.010, as the department deems necessary.

Section 1.
Application for Certificate of Convenience and Necessity. (1) Any bridge
company or ferry company, except any which can prove to the department that it
holds a perpetual and irrevocable franchise for such operation, who seeks to
operate a toll bridge or toll ferry connected to the state primary road system
shall make application at the highway district office of the highway district
in which the toll bridge or toll ferry is located for the certificate of
convenience and necessity required by KRS 280.020. Application forms are
available in all highway district offices and from the Transportation Cabinet,
Division of Traffic, Frankfort, Kentucky 40622.

(2) The
application form must be completed in its entirety and contain at a minimum,
the information required by KRS 280.030.

(3) Upon receipt
of the application, the department shall fix a date for hearing the application
and shall immediately notify the applicant of the date, time and location of
the hearing.

(4) The
applicant shall present proof as to the applicant's general ability,
experience, organization and equipment. The applicant shall, at the hearing,
submit any additional proof that the public convenience and necessity require
the applicant's toll bridge or toll ferry operation.

(5) Department
representatives may inspect the applicant's equipment prior to the issuance of
a certificate of public convenience and necessity.

(6) The department
shall issue a decision on any application within thirty (30) days of the
hearing.

(7) The
applicant may appeal the decision of the department in accordance with KRS
280.110.

Section 2.
Annual Report. On forms furnished by the department, every toll bridge and toll
ferry company which does not hold a perpetual and irrevocable franchise shall
submit an annual report of the previous year's operation on or before March 1
of each year to the chief district engineer of the highway district in which the
toll bridge or toll ferry is located. The company president, secretary,
treasurer, superintendent or manager shall under oath make and sign a statement
on the annual report that the information contained in the annual report is
correct. The report shall include the information required in KRS 280.030 and
also the following:

(1) The number,
by class, of vehicles accommodated during the report year and the toll schedule
for each class of vehicle;

(2) For toll
ferries, a description of the barges and power units in use during the year;

(3) The schedule
of hours of service and trips made; and

(4) Any
additional relevant information required by the department.

Section 3. Toll
Rates. (1) No change in toll rates charged may be made by a toll bridge or toll
ferry company including one which holds a perpetual and irrevocable franchise
without the approval of the department.

(2) To request a
change in toll rates, the company must apply, in writing, to the department's
chief district engineer of the highway district in which the toll bridge or
toll ferry is located. The request shall include the reasons for the requested
change and the toll bridge or toll ferry company shall make available to the
department's chief district engineer all financial reports of the company.

(3) The company
shall give notice to the public of the filing of the rate change request by
publication of the proposed rate schedule and information for filing a formal
protest of the proposed rate change with the department in accordance with the
requirements of KRS Chapter 424.

(4) If a formal
protest is filed within two (2) weeks of the final publication of the notice or
the department has reservations about the proposed rate increase, the
department's chief district engineer shall fix a date between thirty (30) and
forty-five (45) days of final publication of the notice for hearing the
application for a toll rate change.

(5) The
department shall give notice of the hearing by means of publication of a notice
in accordance with the requirements of KRS Chapter 424.

(6) The
department shall issue a decision on any request for a toll rate change within
thirty (30) days of the hearing or within thirty (30) days of final publication
of the notice.

(7) The company
may appeal the decision of the department in accordance with KRS 280.110.

Section 4.
Operation of a Toll Ferry or Toll Bridge. (1) A copy of the irrevocable
franchise or the certificate of public convenience and necessity shall be
posted on all ferry boats and in the toll booths of all bridges affected by
this administrative regulation.

(2) A toll
bridge or toll ferry company holding a certificate of public convenience and
necessity shall not operate over any bridge or stream other than those
specified in the certificate.

(3) Hours of operation,
toll rates, services to be performed, and the safety of operation as set forth
by the department in the certificate of public convenience and necessity shall
be strictly complied with by all certificate holders. The hours of operation
shall be posted on the ferry dock or apron and at both ends of a toll bridge.

(4) If a toll
bridge or toll ferry company including one holding a perpetual and irrevocable
franchise is found, during an inspection, to be in noncompliance with any
administrative regulation, statute or order, it shall have ten (10) days,
following the inspection to correct the noncompliance. If at the end of the ten
(10) days the company is still in noncompliance the department shall fix a
hearing date on the noncompliance. The hearing date will be upon ten (10) days
written notice to the toll bridge or toll ferry company.

(5) The
department's determination shall be issued within thirty (30) days of the
hearing.

Section 5.
Safety Devices. (1) Safety devices as required by KRS 280.120 and 280.130 shall
be provided and properly maintained by each toll ferry company. In addition,
the department may require any toll bridge or toll ferry company including any
holding a perpetual and irrevocable franchise to place and maintain other
traffic control devices such as, but not limited to, signs, signals, lighting,
pavement markings, and barricades that may be necessary for the safety of the
motoring public. All such devices required shall conform to the specifications
set forth in 603 KAR 5:050.

(2) Each toll
ferry company shall provide and maintain in reasonable condition the number of
life preservers or floats, fire extinguishers, axes, and yawls or life boats as
required by the U.S. Coast Guard in their regulations governing the operation
of ferries.

Section 6. The
administrative regulation of the department as herein outlined is intended to
supplement the specific requirements contained in KRS Chapter 280 and
regulations of appropriate agencies of the federal government. In all cases
where the department's administrative regulations conflict with the regulations
of such agencies, or where the regulations of other governing agencies are more
stringent than those of the department, the regulations of the other agency
shall prevail. (11 Ky.R. 1223; Am. 1369; eff. 3-12-85; 14 Ky.R. 55; eff.
8-5-87.)